Analyst Wamsi Mohan from Bank of America Securities reiterated a Buy rating on Hewlett Packard Enterprise and increased the price target to $32.00 from $29.00.
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Wamsi Mohan has given his Buy rating due to a combination of factors, including resilient demand that has held up even after multiple price hikes and a strategic tilt toward higher margin segments such as networking and traditional servers. Management is also tightening commercial terms, shortening quote durations and reserving the right to adjust prices before shipment, while benefiting from a multibillion-dollar AI systems backlog and a robust sales pipeline skewed toward sovereign and enterprise customers.
In addition, HPE raised its fiscal 2026 guidance, with stronger expected growth in networking revenues, higher free cash flow, and an EPS outlook that has been lifted on lower non-operating expense. Mohan also highlights incremental upside from anticipated Juniper integration benefits, structurally improved profitability, and a valuation reset that supports a higher price objective based on rising long-term earnings power.
In another report released today, Citi also maintained a Buy rating on the stock with a $26.00 price target.
HPE’s price has also changed slightly for the past six months – from $23.880 to $21.810, which is a -8.67% drop .